tv Cavuto Coast to Coast FOX Business January 15, 2020 12:00pm-2:00pm EST
he finished, i just said you made a trillion dollars, a trillion. because the market went up 250 points. i said, larry, what the hell did you say? and it didn't matter but we were even. we went from being a trillion down, to even. that was pretty good. larry, you've been fantastic, thank you very much. appreciate it. [applause] and by the way i see in the audience our great ambassador to china, right, governor. so we had the governor of iowa and he loves china and he's, you're the longest serving governor in history of our country, like 24 years. i called him. i said, governor, you have to do me a favor. i remember one conversation i had with him. i was going in to make a speech before the election. and he said, sir, please don't say anything bad about china. first time anyone ever said that to me. i said who is this guy?
he is the governor of iowa. he said don't say bad about china. so i had to rip up about half of my speech, right? i said why? we do a lot of business. etf been dealing with china for 35 years with corn and all the different things and he told me a story that is amazing. 35 years ago when i started, i met a man named xi. he wasn't president then. he was a young man. the governor came back and he told his wife and it is documented, i just met the future president of china and nobody thought much about it. and you know what? 28 years later, you turned out to be right, you have been an incredible ambassador and they like each other so much. when it came time to pick the important position of ambassador, i said haven't you had enough of 24 years being
governor of iowa? he said if you want me to do that. thank you very much, ambassador. i appreciate it. another great job. [applause] nobody could have done that job better. man i could go on the opposite side of the spectrum from the governor, a little different, our trade advisor, peter navarro. right, peter? he is a little different. [applause] we have all types. we have all types. a deputy chief of staff chris liddell with us for a long time. he has done a fantastic job. great business career. commerce secretary, legend on wall street, wilbur ross. where is wilbur? wilbur, thank you. [applause] a man who knows agriculture as well as anybody in the world, we were looking for an agricultural person. we wanted to go split --
political and looking for somebody that would fit perfectly and sonny came in and it was over. i learned in more of that half hour, joni, right, than i could ever learn possibly. sonny perdue has been incredible and we're taking care of our farmers, that i can tell you. so sonny, thank you very much. fantastic job. thank you, sonny. [applause] a woman, transportation is going very well. she has done an incredible job. we're getting approvals down from 21 years to 2 years, it may get rejected for environmental reasons, and lindsey, we have it down to two years, a highway which would take 19, 20 years for approval. we want to get it down from two to one. we want to say build it but you won't wait 22 years to find out you can't build the highway. she has been fantastic. secretary of transportation, elaine chiao. thank you, elaine. [applause]
so we have tremendous numbers of people here and i'm saying, do i introduce him? i think i sort of should. this is a big celebration. and by the way, some of the congressman may have a vote. it is on the impeachment hoax. if you want to go out and vote. i would, frankly, not going to matter because it is going very well. i would rather have you voting than sitting here listening to me introduce you. they have a hoax going on there, let's take care of it. if any want to leave -- where is the great kevin mccarthy. i'm glad. can i be honest? i'm glad. i like it much better that way. and the house folks, 195-0. we got three nothing. one of them left the democratic party, came over republican. what a job you've done. so i want to thank you all. really tough. i love that. so we have some incredible people in the audience and i
just would like to introduce a few. very good friend of mine, two very good friends of mine, sheldon adelson, miriam adelson thank you very much for coming. they have been tremendous supporters of us and the republican party. [applause] and they're great people. a man who always liked me, because he is smart, so smart. the great lou dobbs. you know at first he said, he is the best since reagan. then he got to know me more and more. and he said he is even better than reagan. then a few weeks ago, somebody told me, i watch all the time, somebody has a very important show, actually, tremendous audience and very, everybody in this room watches, lou dobbs, says he is the greatest of them all. i said that include washington and lincoln? he said yes. i don't know if he was for real but that's okay. he is, the great lou dobbs, thank you very much,
[applause] great show, lou. a man who everybody knows. he knows more than probably everybody in this room put together. he is seen it all. and he made a statement to jared, jared came in, said, you know, henry kissinger told me, how did the president ever pull this off? i said, can i quote henry on that? because henry is outstanding and when henry is impressed with something and i'll impressed. henry, we're impressed with you. thank you very much for being here. thank you. [applause] and michael pillsbury, thank you very much. susan pillsbury, thank you very much. you've been saying some fantastic things about china and about us. we have a good partnership. this will be something that will be very special. we'll talk about it in a second. a friend of mine, steve schwarzman is here. steve i know you have no
interest in this deal at all. i'm surprised you're not sitting here on the ledge of the stage as opposed -- steve has done a good job. very good relationship with china and very good relationship with us. nelson peltz is here. friend of mine. he is aarp here someplace. what are you doing sitting all the way back there, nelson? >> [inaudible] >> how is general electric doing, nelson? you will straighten it out. you will straighten it out. hank greenberg is here, if they took care of hank, they wouldn't have the problems they had. hank greenberg. [applause] oh, hank. hank stayed there like he should have, he wouldn't have the problem you ended up having with our economy but, great to have you hank, thank you very much. we have tremendous senators here and some really incredible people. i want to just say the ones that are here, if i miss your name, i
stand up i promise to say it, a lot of people wanted to be here. senator who has been new to the game, he took it up so quickly and so easily and he ran a race that was undoable. the person he ran against was unbeatable. nice woman, heidi, but unbeatable. then kevin cramer said i can beat her. he only won by 12 points. they said he is the only man in north dakota who will win. i said we'll do it. i had him in my office three times. kevin you have to do it. he is doing it. then he turned me down. then he came back again. this time i know he is doing it. sir, i'm not going to do it. i will call you back. but i never give up, do i? instead of being a congressman, he is a senator. you've been great. thank you very much, kevin cramer. [applause] mike crapo, a friend of mine. these are all warriors. mike, thank you very much, mike. what a job you do.
mike is one of those guys goes unsung but behind the scenes there is nobody sharp or smarter. we all respect or love you, everyone of those people. thank you very much, mike. steve daines, same thing i can say for my steve. he has a hell after football team. how did they do? will they be back? they won it again? they have a good team. they have a good team. joni ernst. he got ethanol, so you can't be complaining right? steve, that is good for you too. you know, joni would call me along with chuck grassley. they would call us a tandem. you can't beat the two of them. all they want to know about is ethanol, ethanol but we got it done. deb fischer, same vote, right? you want ethanol for nebraska. a friend of mine, lindsey graham. he has become a great friend of mine. he is a an outstanding man. he loves our country. he really does love our country. he works like hell.
do you do anything other than politics? >> golf. >> he likes golf too. he likes golf too. much better golfer than people would understand. he likes golf. he is a great guy. you get it done. you bring people together. chuck grassley. where is chuck? stand you. this is the toughest guy he can say something in a mice nanner than everybody is afraid. he made comey choke during the hearing. he said did you leak anything to the press? what, what? comey choked like a dog and he was being nice when he said it. chuck is outstanding. unbeatable, between you and the governor, those are two pretty good ones of the unbeatable under any circumstance. makes rounds virtually every night. i don't think you missed a vote. have you ever missed a vote? >> '93. >> he was in my office a month ago. i thought it was very rude.
he said, sir, i'm sorry i have to leave. why? right in the middle of a meeting. i said why? because i have to vote. i have negative missed a vote or something. i said how years? you said 1995. go leave. that is good record to keep. he is solid, reliable person and a friend of mine. thank you very much, chuck. [applause] let them know also about the ethanol, chuck. we brought home the ethanol. when you have those two calling. they were not nice about it, jerry moran. where is, jerry? they are not nice about the ethanol, i want to say that. jerry what he did working together, very closely together with the vets and it's incredible what's happened with what we approved on choice. it made a whole big difference. you don't hear complaint about the va anymore. you see a doctor, if they have to wait two months, wait two days they go out to see a doctor. jerry moran, folks.
he did a fantastic job. [applause] rob portman, great friend of ours from ohio. rob, fantastic job. i just left ohio. they love you, they love you there. have done fantastic job. you are my friend, rob portman. thanks, rob. [applause] pat roberts a man from kansas going to be leaving us. i cannot believe you are not running again, you have at least, at least another solid 12 years in the senate if you wanted. you have to do it, for sure, right? okay. he made that cities. pat, thank you very much. this is very important to pat and to mike rounds because what's happened here, if you look, so much about everything you stand for especially the farmers and farmers are going to be so happy. where is mike rounds. mike, mike, stand up, mike. he is another one. he is brutal to me. woe call, i go to get it done you got to get it done.
right? thank you very much, mike. dan sullivan, from the great state of alaska, i stop there every time i can. i won by a lot. they like me in alaska, right? they like you too, dan, thank you very much. kevin mccarthy as you know left for the hoax. we have to do that. otherwise it become as more serious hoax. mark meadows, a friend of mine right from the beginning, thank you very much, mark, very special guy, great wife. his actually supported me long before him but he thinks i don't know that. she went on women for trump when it wasn't so fashionable like on the worst day of my life, she was women for trump tours with 50 women on buses all over the great state of north carolina. she is fantastic. vern buchanan, thank you very much, thank you, vern. great job you have done. mike conaway. thank you, mike.
by the way, christie, thank you for being here. i didn't know you were going to be here. stand you. we'll do a big fireworks display, right? mount rushmore. we're going over i think will try to be there on july 4th. so the governor called. she ran a great race, a tough race. that was a tough competitor you had, right, a big star. she was bigger star, turned out lindsey. you said you think we could get fireworks back at mount rushmore. i said why? they haven't been there 20 years. i said why? environmental reasons. you can't have fireworks because of environment? environmental reasons. what can burn, it is stone. it is stone. so nobody knew why. they just said environmental reasons. so i called up our people. within about 15 minutes we got it approved. you're going to have the first big fireworks display at mount rushmore. i will try to get out there if i can, right? [applause] that will be great, thank you
very much for being here. thanks, christie. mike kelly. where is mike? mike, thank you very much, what a friend. drew ferguson, what a friend. these are great people, i'm telling you. darren lahood. darren, thank you very much, darren. great job. michael mccaul. you did a phenomenal job, three or four days ago with your speech on the floor. very inspiring. numb patrick mchenry, number one a great guy. number two had the best name in politics. if i had that name i would have won 20 years ago. patrick mchenry, has such courage. honestly deserves a medal. he will probably get one. we still have to win to get medals. we don't get metals unless we win. he has never lost in his life. he is so tough and smart. devin nunes. stand up, devin, what they put him through. [applause]
what these phony people, what these dirty cops and all of the others put you through. man you survived it better than ever, everyone respects you. even meadows respects you and he respects very few people. thank you, devin, very much. adrian smith, thank you, adrian. thank you very much. and don't feel, again, you guys are all set. i introduced you. not much more from you. you will hear great things about china. you will hear some also great things now because we have a who's who of the world of business with us today. david abney of ups. david, where are you, david? you can stand up. anybody wants to, if you don't want it, if your company is not doing well you may not want to stand up but ups is doing very well. there will be a couple that will sort of slink back if in their chair. david, what a great job. adam of honeywell.
great company. equipment you make. i have a lot of it. i use a lot of it. the country use a lot of it, j.j. banga of mastercard. thank you. josh bolton, business roundtable. thank you, josh. david calhoun. has a very easy company to run. he just took over boeing. where is david? , david, where is david? >> right here. >> see you don't want to stand. your fault. you just got there. you will straighten it out quickly please? >> we will. >> i have no doubt. it is a great company les daniels, ustr. dan, we've been fighting steel things together for 20 years, dan. i would like to say 30 but i don't want to do that. we've been fighting together a lot longer than 20 years. now we're winning. finally took 25, 30 years. took a little change at the top, didn't it? you have been a warrior for
getting taken advantage of as a country. you've been a warrior from the beginning. dan and i, fight of two people against the world. tom donahue, chamber of commerce. where is tom? , thank you, tom, great job. brian duperiat of aig. do you ever hear of aig, hank greenberg? thank you very much. i appreciate it, brian. mary erdos, jpmorgan chase. they just announced earnings. they were incredible. where are you? they were very substantial. will you say thank you, mr. president at least, huh? i made a lot of bankers look very good but you're doing a great job. say hello to jamie. i think we're seeing him tomorrow. nancy falotco of ford. where are you, nancy? , hi, nancy. so young, so young. that is very impressive.
thank you very much. you're doing a good job. jim fiterling, dow chemical. incredible company. thank you, jim. jack fusco, cheniere. jack, thank you, great. meg tellrin. where are you? congratulations. kev griffin, citadel. what a guy. ken, where are you? , trying to hide some of his money. he doesn't want to stand up. where the hell is ken? steve, you will stand be he is very quiet about it. he is here someplace. he just doesn't want to stand. harold ham. puts a straw into the ground and oil pours out. it is true. other guys spend billions and billions of dollars. they can't find oil. he take as straw and goes like this. oil pops up. harold, my friend, with my from the beginning, right, harold? you were with me from the day i came down the escalator with our
first lady. by the way, do i see john thune at this audience? john, how the hell didn't i introduce john? they didn't have your name down. i can't believe it. what a great guy he is. [applause] i also see kevin brady. thanks, kevin. great job on the tax cuts. al kelly, visa. al kelly. al kelly, thank you. brian lance, conocophillips. brian, great, you're doing fantastically well. most of you i can say you're doing fantastically well. thank you, mr. president. don't worry about it. don't feel guilty. alan mcdonald, citibank. citibank. [applause] boy you brought that back so far. i remember, seven, eight years ago, but citibank is doing fantastically well. raymond mcdan, moody's.
good, are you giving us good ratings, raymond? we're doing pretty good, right? sanjay marada micron, incredible job you're doing. sanjay, thank you very much. steve mullenkopf. qualcomm. they had a merger going. i said they should le the merger go by. i called president z xi. they accepted it nobody else wanted that with you but you could have had it. jim morrison of jeep. what a grade job they have done. that is a great brand. much congratulations. larry nichols, devin energy. larry, thank you, larry. great job. jason oxman, iti. jason, thank you, great job you're doing. scott schenck kel, ebay. i sign things the next night.
i see them on ebay, they're sold, they're sold for a lot of money. sir, can you sign my sneaker. yes. two united states later i see it on ebay selling for $5,000. i say what kind of people are these, lindsey? terrible. sometimes it is the senators and the congressman that do it. [laughter]. gary shapiro, cta. gary, great job, gary. greg smith of boeing also and greg, get that going. work together, get it going. boeing make as tremendous portion of our gdp. i had no idea it was such a big company. i know it was big but it could have up to a half of point gdp. some people say even more. so we got to get that one moving fast and it is going to be better than ever i think. mike summers. api. mike, thank you, mike. paul taylor of fitch. that is another good ratings group.
are we doing okay at fitch. are we doing good? i wouldn't have introduced you if i didn't -- robert fitch of news corp. is rupert not here? i can't believe rupert is not here. is he greatest or what? he would get 40 billion for his thing. he sold all the stuff he wants. he sold it to some group that don't like trump as. that is the only problem. he was going to get 40 billion. they keep bidding thing up. they paid what, 75 billion? he kept the best stuff. rupert is doing it right. rupert is fantastic. that whole family is a fantastic family. say hello, robert. john thornton. john, where's john? where's john? john is great. good job, john. [applause] thank you for all the help too. great job, john. jay timmons, nam. jay, thank you very much. thanks, jay. steven vaughn, king and
spaulding. steven, king and spaulding. i could booed use legal advice. you have some good lawyers? i could use some good lawyers. the hell with it. i have to suffer through the way i have all my life. somewhere along the line they must be pretty good, right? jonathan ward, atlas organization. great job you have done. kevin warsh. kevin? where is kevin? i don't know, kevin, i could have used you a little bit here. why weren't you more forceful when you wanted that job? why weren't you more forceful, kevin? you are a forceful person. i thought you were too forceful maybe for the job. i would have been very happy with you, but kevin, thank you for being here. you understand at that very well, right? bothers me when germany and other countries are getting paid to borrow money. this is one, i don't know where that all leads. but we have to pay. we're number one in the world by far, and we have to pay for our
money. our interest rates are set high by the fed. our dollar is very high and relatively speaking. but when other countries get literally, they're under, they have negative rates, meaning they're under, they get paid. i love this. this concept is incredible. again you don't know where the hell it leads but you borrow money and when you have to pay it back they pay you. this is one i like very much. i'm going to talk to you about that, lou dobbs. so we're set at 2. why are we paying and other countries get money when they pay back? i want to know who the people that buy this stuff? who puts money into something that is guaranteed loss? that is whole different group of people that i know. glen yonkin of carlisle. great group. for decades, american workers, farmers, ranchers, manufacturers, innovators have been hurt but unfair trade with
china. forced technology transfer, intellectual property theft have been huge problems. since china joined the world trade organization two decades ago we have racked up nearly $5 trillion, vice premier, i hope he is not listening to this, in trade deficits. lost millions an millions of manufacturing jobs and saw tens of thousands of factories close. that has to do with mexico and to an extent canada. what they did to this country with trade and trade deals, nafta. we had no deal with china. we had no deal. and it was like, just, easy pickings. for years politicians ran for office promising action to remedy these practices only to do nothing but allow them to continue. it was pillage. as a candidate for president i vowed strong action. probably the biggest reason why i ran for president, because i
saw it for some years. i said how come nobody is doing something about it? meantime immigration and building our military, also important but that is probably the biggest reason. in june of 2016 in the great state of pennsylvania i promised that i would use every lawful presidential power to protect americans from unfair trade and unfair trade practices. unlike those who came before me, i kept my promise. they didn't promise too hard. [applause] they didn't do anything. i actually think i more than kept our promise. now our efforts yielded a formative deal that benefits our country. we have a great relationship with china. we have a great relationship with the leaders of china. china fully understands there has to be a certain reciprocity. it has to be. it cannot continue like this.
it would be dangerous for it to continue like it was. the agreement we sign today includes ground-breaking provisions in an area of critical importance to the united states, protecting intellectual property. so the deal you're seeing today is much bigger deal than, we have it very much guarded. they asked one of our democratic crying chuck schumer, what do you think of the deal two weeks ago? he had no idea what the dial was. never saw the deal. totally guarded. i don't like it. i don't like the deal he said. have you seen it? yeah -- why don't you like it? they took tariffs off. actually we didn't. he didn't know anything about the deal. he just said exactly what probably you should say as a politician. how do you like the deal? i don't like the deal. do you know the deal? sort of. he never saw the deal. knew nothing about it. he would love the deal but he can't say it because is in the other party. maybe patrick would do the same thing, right? you know what?
i would say thaw shouldn't. this is an unbelievable deal for the united states and ultimately it is a great deal for both countries. and it will also lead to even a more stable piece throughout the world. china is helping us with north korea. china is helping us with a lot of the things that they can be helping us with, but you don't see in the deal but they have been very, very helpful with respect to kim jong-un, who has great respect for president xi. it is all a very, very beautiful game of chess or game of poker or, i can't use the word checkers because it is far greater than any checker game that i have ever seen but it is a very beautiful mosaic. china is giving as you lot of help. we're giving them a lot of help on things we help them with. one of the things we are also talking about is fentanyl. president xi instituted large penalties and arrested a large numbers of people sending fentanyl into our country. that never happened before.
[applause] so china has made substantial and enforceable commitment regarding the protection of american ideas, trade secrets, patents and trademarks. this was not, according to most, they didn't know we covered any of this. we covered a lot of this. it's phase one but they're doing many more things in phase one than anyone thought possible. china is also pledged firm action to confront pirated and counterfeit goods which is a big problem for many people in the room, the counterfeiting. we'll make sure this happens and we have very, very strong protection. in addition the agreement addresses forced technology transfer, policies that can require companies to give away their know how and trade secrets. when boeing has some work done over in china or want to sell planes over in china, they don't have to give up every single thing that they ever, worked so hard to, to develop and to come up with.
you guys hearing that? you don't have to give up anything anymore? just be strong. just be strong. don't let it happen. but you don't have to do that. it was a terrible, it was a terrible situation going on there. and a lot of it was because our companies, i have to say this, were very weak. you gave up things you didn't have to give up. legally you don't have to give them up. under this deal, transfers and licensing on market terms fully voluntary, reflect mutual agreement. phase one will see china expand imports into the united states. we want to buy a lot of their product inexpensively but we have an additional 200, they are going to be, what's to me, very important. number one, they will be spending much more than $200 billion over the next two years, including up to 50 billion just on agriculture alone. some of the numbers that i wrote down, on manufacturing, they
will be spending $75 billion. they will be putting into our country, okay? they will be putting into our country, $75 billion, on manufacturing. $50 billion worth of energy. so that is great for our energy people. we're the number one in the world now. we weren't. we're now the number one energy group in the world. we're bigger than saudi arabia. [applause] we're bigger than russia. we're bigger than everybody. [applause] and for those people that are in the room, that are very much into it, of which we have a lot of oil and gas folks in the room, i'm approving pipelines in texas momentarily, which would give you, which would have taken 15 more years to get but you will have them very quickly. we take from a 15 year period, to two-month period. i'm angry at my people for taking so long, right? if we do that, we'll be up another 22% in oil and natural gas. we have 50 billion for energy.
50 billion for agriculture. and 40 to 50 billion on services including, rob, financial services. so the banks are going to be doing great. credit cards. all things you do so well. you will be able to go into china and really do a job. they will be working with you. one of the other things i have to say is, that protection of intellectual property, we have very strong protection of intellectual property. a lot of people thought this deal was a simple deal for the farmers who will get 50 billion. remember i said, lindsey they have to go out to buy larger tractors. china was doing $16 billion with the farmers. and they stopped. why not? they're in a negotiation. so our people agreed to 20. i said make it 50. what difference does it make? make it 50. they said, sir, our farmers can't produce that much. i love my farmers. let them tell me they can't do it. tell them to buy a larger
tractor, a little more land but i have no doubt think will be able to do it. [applause] so the other thing that i think we have is the currency devaluation standards. we have a very strong standard for currency deevaluation. and in all due respect china was one of the greats in history at doing that and we're going to work on it together but currency devaluation with some very, very strong restrictions and very powerful restrictions. we have full, again, the word, one of the things we have, total and full enforceability. you know what that means? total, full, enforceability on all of this. so, the agreement tears down major, market barriers for u.s. food and agricultural exports. china will now welcome american beef, pork, poultry, rice, dairy, infant formula, animal
feed. biotechnology and much, much more. frankly you know, they were not doing things that they were supposed to be and that's okay because now they will. the deal will also benefit energy, manufacturing services and all sectors of the economy. and i will say this, this deal again, they thought it was a 50 billion-dollar agricultural deal. now it is much more than $200 billion of which 50 is agricultural. but the rest in all other things we just discussed. especially for financial. you should really look at it. you have free pass and you don't have to worry about 49% you can't own. because you can own now. you will not have to take partners forced upon you you. it is incredible deal from that standpoint. we're allowing chinese consumers to have act soes to the best products on earth, those grown and raised here in the usa.
face one is really incredible. we almost had the whole deal done. this is better. this is more detailed aspect of the deal. it was such a big deal before. this is much more targeted, much more powerful deal for everything we're doing which is a very large part of the deal. but we're going to be starting phase two as soon as this kicks in. we'll be starting phase two. we're leaving tariffs on, which people are shocked but it is great. but, i will agree to take those tariffs off if we are able to do phase two. in other words we're negotiating with tariffs. we have 25% on $250 billion worth of goods and then we're bringing the 10% down to 7 1/2% on $300 billion worth of goods plus. so, but i'm leaving them on, because otherwise we have no cards to negotiate with. negotiating with liu he is very tough. they will all come off as soon as we finish phase two and that
would be something that some people on wall street will love but from what i see they loved this deal the way it is now but we have very strong cards. frankly china and i will start negotiating with bob, steve and everybody, very, very shortly. so from this nation's vibrant heartland to our gleaming cities, millions of workers and farmers, and innovators have waited decade for this day. we never even had a deal with china. in all fairness. i don't blame china, i blame the people that stood here before me. i don't blame china. i told that to president xi. i was in beijing making a speech explaining how they're ripping us off. guess what? he was not too happy. i looked at him. he is not too happy. i better change the speech quickly. i don't blame him. i blame our presidents. we should have done the same thing to them but we didn't, we didn't of we never had a deal with them. they would do whatever they wanted. with this signing we mark more than just an agreement. we mark a sea change in international trade. at long last americans have a
government that puts them first at the negotiating table. first in trade, first in every deal. every decision, and every action we take with incredible enforceability. as we move on to phase two, i look forward to continuing to forge a future of greater harmony, prosperity, and really commerce, commerce and far beyond commerce, between the united states and china. this is something that far beyond even this deal, it is going to lead to a even stronger world peace. we now have, we now have a big investment in each other and in getting along with each other. this deal is phase one. we'll probably be able to conclude it with phase two. we don't expect to have a phase three. but, it is something that we all want to get done. and it will be a tremendously big deal. this is something that is going to be so special, however, to
our manufacturers, our service people. nobody has ever seen anything like it. this is the biggest deal anywhere in the world by far and that is good. we're doing another big one next week but this is the biggest deal anybody has ever seen and it can lead to being a deal that is unprecedented because china has 1.5 billion people. ultimately in phase two we're going to be opening up china to all of your companies. i hope you folks can handle it. i would like to ask ambassador robert lighthizer and secretary mnuchin to say a few words, please, thank you. [applause] >> mr. president, mr. vice president, mr. vice premier, it is an honor to be here for this momentous event. the president has long fought for fair and balanced trade for americans. he has for years complained about our enormous trade deficit
with china. and the unfair practices which have in part contributed to it. indeed solving the trade crisis was a major objective of his campaign and of his administration. the united states and china are two great countries with two great economies but two very different economic systems. it is imperative that we develop trade and economic rules and practices that allow us both to prosper. the alternative is not acceptable for either of us. this phase one agreement is the result of over two years of hard work. it is an important part of the president's economic plan and it is a big step forward, in writing the rules needed and developing the practices that we must have, going forward. this agreement will benefit both the united states and china. i'm grateful to the president for allowing me to be part of
this plan. i'm grateful to secretary mnuchin, my friend with whom i have worked so closely on this, in so many other matters. finally i would like to thank and acknowledge more than 60 men and women at ustr and other agencies who worked so hard on this day and night for some months. i should begin with ambassador jeffrey garrett who is my deputy who led this effort. thank you for your patriotism. [applause] i would also like to single out ambassador gregory dowd, who is my agriculture deputy. [applause] and the assistance ustr responsible for this enormous effort, terry mcarden. [applause] this was a great team effort by my office as well as departments of treasury, agriculture, commerce and many others. i should also acknowledge the
hard work of the chinese side. vice premier liu he is a leader who is diligent, patriotic, as near as i can tell always working and proven himself honorable. to appreciate -- [applause] we appreciate also the efforts of minister shong. thank you to minute, the vice premier's principal deputy and rest of your team. congratulations president trump and congratulations president xi. [applause] >> thank you, very much. mr. president, mr. vice president under your leadership the economic policies of this administration are working. tax cuts, regulatory relief and now great trade deals are making the u.s. economy stronger and
helping american business and workers and farmers. this is an incredible accomplishment. i want to particularly thank ambassador lighthizer. you've done an extraordinary job leading this effort across literally enormous resources, every single agency contributed to this, the white house. this was a real team effort. so thank you very much for your extraordinary job. i would also like to thank the vice premier and his team. we could not have done this without all of you. this was a lot of hard work. and again i would like to thank you and president xi. a great step forward, momentous agreement between our two countries. thank you. [applause] >> by the way i have to just tell you that a woman is in the room who, loves her state so much and i didn't introduce her because i wanted to save her.
you have been so great. would you please stand up. shelley. west virginia senator. thank you, shelley. [applause] so i want to again thank vice premier the work we've done together. it's been, it's been an incredible number of months. it was stop and go. it looked like it was pretty much going to be stop an never go but i'd like to invite you on behalf of the great nation, and it is a indeed a great nation. i would like you to relax a little while. take it easy. go out. see a movie. tell president xi, president go do a round of golf, see a movie. no, no, i'm too busy. they are workers. china is an incredible, incredible nation. i would like to have you say a few words, mr. vice premier. please.
[applause] the vice premier would like to read a letter just sent to me i found out from president xi. we'll ask the interpreter to come up, please. okay? thank you very much. that is very nice. [speaking chinese] >> translator: thank you, president trump, now, may i raid out the message from president xi xinping to president donald j. trump. [speaking in native tongue]
>> translator: mr. president, as china and the united states sign the phase one trade agreement, i asked vice premier liu he to bring to you my warm greetings. [speaking in native tongue] >> translator: as i said during our phone call on the 20th of december last year, conclusions of the phase one trade agreement between china and the u.s. is good for china, for the u.s., and for the whole world.
it also shows, that our two countries have the ability to act on the basis of equality and mutual respect and work through dialogue and consultations to properly handle and effectively resolve relevant issues. [speaking in native tongue] >> translator: in the next step the two sides need to implement the agreement in real ernest and optimize it is positive impact so to make greater progress in china u.s. trade and economic cooperation. [speaking in native tongue] >> translator: to maintain healthy and steady growth of china-u.s. relations, serves the
interests of both countries and requires joint efforts from both sides. [speaking in native tongue] >> translator: in that spirit i hope the u.s. side will treat fairly chinese companies and their regular trade and investment activities and give support to the collaborations between enterprises, research inches -- institutes and colleges of the two countries because it will help enhance mutual trust and cooperation between us. [speaking in native tongue]
>> translator: china is prepared to work with the u.s. in that direction and i will stay in close touch with you personally. i believe that under our guidance, china-u.s. relations will deliver more results bringing greater benefits to our peoples in the year ahead. [speaking in native tongue] >> translator: the chinese new year is just a few days away. i and my wife extend our seasons greetings to you, to melania and your family. may you all enjoy happiness and success in the new year.
>> thank you. [applause] >> translator: honorable president donald trump, honorable vice president mike pence, ambassador robert lighthizer, secretary mnuchin, colleagues, friends, ladies and gentlemen, good afternoon. today china and the united states will be officially signing the phase one trade agreement. first of all, allow me to pay tribute to our two presidents. i also want to thank the u.s. principleses, our two economic
teams and all those who have made their contribution to this phase one trade agreement. as two great countries with important responsibilities in world affairs, china and the united states, with larger picture in mind, have taken a serious approach to our differences and managed them perfectly to reach the phase one trade agreement. it is good for china, for the whites, and for the world. this is a mutually beneficial and win-win agreement. it will bring about stable economic growth, promote world peace and prosperity, and is in the interests of the producers, consumers, investors in both countries. at the same time, this agreement
is not directed at, nor will it affect the lawful rights and interests of any third country. it is in line with wto rules. a cooperative economic and trade relationship, is the propeller of the overall china-u.s. relations. over the past two years, the two sides encountered some difficulties in the economic and trade field. at times, there were setbacks in our trade talks. because, on some issues we don't see eye-to-eye. however our two economic teams did not give up with relentless efforts from both sides on basis of equality and mutual respect, we have reached a phase one trade agreement. as we, chinese oven say, one should not be daunted by difficult problems because
they're always more solutions than problems. [applause] this is an extensive agreement. after it is signed china will work with the u.s. act in the principle of equality and mutual respect, districtly honor the agreement -- strictly honor the agreement, accommodate each other's core concerns, and insure the good implementation of the phase one trade agreement. it is a pressing need and will play an important role in the growth of bilateral an economic trade relations in the future. as to where we will go from here, there is a chinese proverb that goes, the beginning is the
most difficult part. there is a similar saying in english. a good beginning is half success. they mean the same thing. it means we need to continue to be problem oriented and focus on implementing the phase one trade agreement so as to bring about a good start in the sound economic trade relations going forward. as the living standards of the chinese people rises we will import fine quality agricultural products from countries across the world. as the two sides have agreed based on market demand in china, in line with market terms, chinese businesses will purchase 40 billion u.s. dollars of agricultural products from the united states annually. if the demand is strong, the companies may buy more. to make it happen, the two governments need to foster a
sound market environment for businesses to expand trade activities. ladies and gentlemen, friend, the chinese economy is transitioning from high speed growth to high quality development. a new philosophy is governing our development across the board. reform opening up is picking up speed. this year we'll build a moderately prosperous society in all respects. china's per capita gdp exceeded 10,000 u.s. dollars. a 400 million strong middle income group is emerging. and a massive domestic market is taking shape. china welcomes investors from around the world to china including those from the united states and will expand imports of fine quality products and services from other countries. china will continue to enhance the legal environment, step up
to the protection of property rights and intellectual property, apply a management system of preestablishment national treatment bus connective list and create a level playing field. china will open itself even wider. [applause] ladies and gentlemen, friends, the world is now at a critical historical crossroads. we are faced with major strategic choice of how to promote major country cooperation and international cooperation. china has developed a political system and a model of economic
development that suits its national reality. this doesn't mean china and united states cannot work together. on the contrary, our two countries share enormous common commercial interests. and we are faced with multiple common challenges like terrorism, counternarcotics, widening income gap, aging population, major diseases, resources, and protecting the environment. there is a real need for closer cooperation. president xi xinping points out that there are 1000 reasons to make china-u.s. relations succeed and not a single one to let it fail. we must seek common ground while putting aside differences and find a path toward win-win cooperation. this has important emlycations for china, the united states and the world at large. it has been, will continue to be
proved that we both stand to gain from cooperation and lose from confrontation. cooperation is the only right choice. we need to act in the over interest of world peace and development and shared future of humanity. equal consultation with mutual respect and take forward china u.s. relations based on coordination, cooperation and stability. and fulfill the great historic mission that we shoulder together. while i see many visionary people here, in the audience, who have made important contributions to the sound development of china-u.s. relations, please accept my most sincere appreciation. [applause] the lunar chinese knew year is coming soon. i extend seasons greetings to
governor, ladies and gentlemen, just now vice premier giving us a conference of operation on titus principal position, china u.s. trade one agreement. given the highly complex environment, eating a china u.s. trade agreement based on quality and mutual respect" for china and the u.s. and good for the peace and prosperity of the whole world, both sides will abide by the agreement, to keep trade relations in the right direction of future benefit and within. deliver the benefits for the people of our two countries. china's development and results of the wisdom and hard work of 1.4 billion chinese people and the rights of the chinese people to pursue a better life is what
should be fair. there is great potential china u.s. cooperation and defining feature of his economic operation between jew countries of mutual benefit. people from both countries benefit from cooperation. this will not change. the relationship is now at a crucial juncture. we have reached a phase one trade agreement and it's important we leverage opportunity and strategic consensus between the two presidents and keep up relations in the right direction. we need to strengthen communication and dialogue on various levels to build trust, reduce misunderstandings and misjudgment and properly manage differences to deal with the chinese relationship based on ordination, cooperation and stability to conclude, or to take this opportunity to thank you again.
friends from all the communities in the u.s. for support. let's work together in the new year. [applause] >> enclosing, it doesn't get any bigger than this. not only in terms of the deal but in terms of what it represents. keeping these two giant and powerful nations together in harmony is so important for the world. not only for us but the whole world. the world is watching today it's a great honor to be involved, it's a great honor to be with you. thank you very much. [applause]
precedented trade deal with china, the two largest economy on the planet scoring ideal for the last couple of years. it had its moments but the president is going ahead and signing with the chinese vice premier who he. adding the chinese to commit to what they have to do but what they have committed to is on paper, something fairly dramatic. $200 million worth of purchases of american goods over the next two years that will include everything from soybeans and wheat to chemical plastics and a host of other items. the bills and mechanisms to keep track of that is something the president says are in there as well as intellectual property insurances, businesses got tired of dealing with china and the chinese demanding they open their books and they claim the chinese steel everything they can. there are now provisions here that will make that more difficult but of course, the
"issue is" the chinese living up to that and doing that. i was talking about the division of all of this because the news network probably focusing on the impeachment going on right now. a deal like this has been scored in market records are stored across the spectrum here, the president is making light of that several times. for the president right now, this is a big victory. the chinese can make good on it, the president says there are provisions in there to make sure they do. that sets the stage for a follow up agreement. there are still tariffs in effect. we should stress that roughly two thirds of the item we get from china are still subject to some sort of tariffs anywhere from 7% to 25% but this is a step in a dramatic right direction. they are up and down now, over
29000 making it more than two weeks. we are monitoring that very closely. that would be big beneficiaries of sub trade progress making the way. edward, what does this mean? >> this is a very specific agreement that goes into effect in 30 days. now that it's been signed here, sealed and delivered, the chinese language, the language inside here in every chapter says chinese shall follow through. that is legal binding language for the chinese in the scale. the first chapter deals with intellectual property taxes. china believes they are enhancing intellectual property protection and enforcement in the interest of building good relationships and the economy growth on both sides in chapter two on technology. companies are not pressured to
turn over technology but they can. this agreement opens up financial services markets, it allows credit card companies to do transactions in china. there's a big part on equity. firms cannot use equity not just in china but outside equity to meet the standards to do business inside china. i apparently was a big hertl for large companies. china will no longer be considered technology manipulator. there's steps the country has to takes. the dispute resolution for specific same ten days after a complaint, it has to be export 21 days after that, the complaint will be looked at at a sub level. forty-one days including the 21 days later, the deputy level will look at it. thirty days after that, advisors to a primary level. china is not allowed to retaliate in this. the enforcement deal goes both ways. the president says he's going to use the tariffs in place to work on phase two. >> leaving tariffs on, i will
agree to take the tariffs off if we are able to do phase two. when negotiating, 25% on $250 billion worth of goods. >> on the purchases the u.s. trade representative said, there will be a 50% increase from china purchases in year one. manufacturing quincy $33 billion increase brought in year one. $45 billion in year two. agriculture the to your total will be an increase of $32 billion, services 38 billion dollars increase over two years. these numbers are increase from baseline in which china will already buy. this goes into effect in 30 days but in the agreement, it says it can be canceled 60 days after a notice by either party.
so there's an out if it's not being followed by the chinese but again, a binding agreement here, u.s. trade representative said is historic. >> whose monitoring that? you pointed out 2010 when we had victories that have been taken to the world trade organization, they've taken each one of them eight times. chinese have cheated, they lied. there's no retribution. >> that's why in the dispute resolution, it's very specific. u.s. trade representative says companies will bring the complaint and that's where the flag goes up. one of the complaints he said he's heard his china has been sitting on this for years. the companies going out of business but this is an exact timeline. we are going to be looking at this, making sure they are following through implementing this agreement. counterfeit, that's a big deal for the chinese. counterfeit with the u.s., the
penalties in this for counterfeiting, it's not only penalties punitive but also confiscation of the equipment. all the equipment used to do the counterfeiting. that something that has not happened before. >> chinese have to stick to it. >> exactly. that's the really big deal here. to make sure they follow through. in 30 days, he's going to go back and meet with the chinese and see how things are going. by spring, we should know if this agreement is going to hold. if the chinese hold up their part and if they are happy the u.s. is holding up on their part. >> i want to take you to this, this surreal environment right now. the securing of this unprecedented trade agreement. they are working on resolutions from the house to the senate to
impeach the president of the united states. in the middle of what could arguably be called something that alters great products, we been reminding him they are still looking to throw him out of office. it is weird. >> it is weird. you are right to show parallel reality right now. we had probably the first pushback against china in years. the question now, could any of the 2020 democrats pulled it off? they didn't wait better than anybody anticipated. markets are certainly reacting. at the same time, we have another push in washington to get rid of the president. >> it was interesting to, the fact that the democrats have been able to jump as they prove the steamroll doesn't like the
president. i haven't read it or seen it but now they are going to say we don't know about the enforcement. we haven't had an opportunity to enforce that. certainly you pointed out the history of trusting president cheap jinping is not a good one. the president feels like he now has situation for enforcing it, for using the leverage of terrorists, whether he likes tariffs or not. the optimism is justified. as we've moved toward this, markets have been rising and investors are looking at trade coming down. we got china now saying it in their interest to protect intellectual property. what we can say for sure is that less expensive to trade than we thought it was going to be a few month ago. let's hope that progress
continues. >> we still have 316-point tariffs. it's not as if we are out of the tariffs woods here. you think that backdrop is something the market puts away and that it keeps a lid on things the federal reserve might intervene in back the president if things get out of hand? >> that's an important. the chinese communist system means the leaders can do whatever they want and they can break rules they have in the past. the mechanism is keeping the tariffs, a majority of chinese exports into the u.s. i think what china was seeing was slower growth. we certainly see that in the real numbers. in china, they likely would have
seen the eu stepping up. saying hey, we want a better deal, too. china was likely watching what was going on u.s. companies would have to buy components out of other north american countries, too. china was moving supply chains, selling goods to the u.s., using channels via brazil, africa, europe, other asian companies. the way the president speaks is transparent. he puts it all out there on the table. i think the market likes that. >> each and every individual, 7000. james, i'm curious where the trade realm would be in the european union. he might use the tariff lever as he has in other cases. he's saying this is proving that this is a weapon properly
utilized. your thoughts. >> i think that makes them nervous. we've had presidents writing up a paper this week and he talked a lot about the tariffs saying essentially the economy is still holding up really well. he had one very short reference to the tax cuts and regulatory reforms and trump administration so -- >> the history is very clear. look at that rise in economic growth, the rising investor senate and it was driven by the tax cuts, the deed regulation since then when we've had news of mark tariffs or trade fight. we seen the hits. businesses are less willing to invest. i'm hoping that turns around but i'm hoping the white house has
an appreciation for what is the driver for economic growth greatly. which is the tax cuts. >> forget about whether the chinese is making good. get back to the levels of trade we were at before it started a couple of years ago. i know the president takes news and all that but looking at the chemical industry that's now the tariffs has not been lifted. the chinese have also had arise. they are still in a bit of disarray here. there was an exception to the trade role. that might very well be the case but there are still a lot of industries that have yet to see a break from all of this. >> oil industry is expendable. you can easily sell that. what's really interesting to me is that yes, this china trade fight with an x-ray blanket on the markets here and there with
sentiment. now that it's been lifted, when you look at what the deal is indicating, manufacture appearing, they have to crank it up. the china import is 186 billion from the u.s. the increases are not 50% for manufacturing goods. a year. that means the u.s. manufacturers are going to have to go barring all. can make deliver on that front? when this deal is going to likely get a boost to the problematic manufacturing industry, the pressure over the last year, now it's at the door it seems. >> we get used to things based on recent history but there was only little more than three years ago when between our two countries, 1% were affected by tariffs. now it's about 70% even now with this. it's the new reality, i guess.
>> that's what the president sees as necessary to make this happen, to keep the tariffs on. i think there's the hope that they all go away and we didn't get the december 15 tariffs. we got some relief on the earlier ones. >> what happened in the market? if all of a sudden it doesn't look like the chinese are making good and u.s. businesses get back to the administration, i would take the markets down. >> i would expect so. on the other hand, i think this economy is ready to roar. if you take out the trade, -- >> i'm surprised he didn't get a selling on the tax. >> i thought that, too. this is a good thing. the market chatter, what we are hearing from "wall street" is there's a lot of worry about the joke on think balance sheets.
on pension plan. this is a new crisis. they can't raise rates because of what's out there. they have -- >> two or more conventional worries. >> right. this is a two-year battle, it seems now to be over. the president may come to china to seal phase two. >> should the president go? you always wonder if biden gets it or whatever -- >> that's right. >> for the chinese to actually sign on the deal, always heard the democratic debate is essentially that even though they won't say they like trump, they like tariffs as a tool and they want to use it as trade for environmental labor, the whole laundry list of progressive issues. china may feel like it's better
off with the president who may be tough with them and stay focused on economic growth. >> this notion that they like "making money". that's the tiniest thing. universal one. >> how did you know? [laughter] >> a couple of things i want to let you know, not only the dow, s&p and nasdaq in record territory, this commitment with a few more details. two years, there is sort of a metric they are using like it's a little geeky here. all i know is that the commitment on paper calls for $50 billion in oil and purchases of the u.s., $32 billion in agriculture. for other items, playing cards and the like, even on the commitment part of the chinese,
today we take all will might just step one that's never been taken before with china. toward a future of reciprocal trade, we signed phase one of the historic trade deal between the u.s. and china. together we are righting the wrongs of the past and delivering future of economic justice and security. >> the trade deal is on. the question is whether chinese honor what they have dishonored in the past? this is the furthest we've ever gotten with the chinese in a trade agreement that calls for them to give up this much. we don't know the rollout of the purchases and exactly what they
strike but first they will lead all and some of these other more high tech developments. we got president barack obama. do you think the chinese will make good on their promise? >> i listen to the press conference but it sure sounded good. i'm reminded of of brace and ecclesiastic, nothing is as good as it seem and nothing is as bad as it seems. as you said, the devil is in the details. will china live up to it? chinese history is not that great. they make promises and don't live up to them. the real key question here is agree to which china thinks the
united states is trying to stop china's rise. there are many in the u.s., national security committee who wants to stop china's rise. they want to contain china. many people think china is too big to be contained. the more china get that impression of the u.s., the more the trade deals won't go very far. i think it's very important to ask as americans, how do they want to relate to china? treat them as a coke week? china has to do something. they have to be much more transparent about what their goals are. not just by word but by deeds so we can trust what they are doing. >> obama took an indirect hit from this president sang the primer prior administration failed dealing with the chinese.
he was kind of saying, relying on international organizations. the chinese wouldn't even honor thoughts. now the u.s. is in the role, policing that they are making good on what they are saying. what you think? >> i think there's something to that. this is 2020, it's not what the situation was many years ago. many years ago, we helped by working with china that things would turn out well. china changed though. prior to president g, china was more open. market oriented economy. under president xi jinping, that's changed a bit. he moved towards more state enterprise.
it is true, president trump is intense. the real question is, how far will it go? i'm not sure this will result in what most americans quickly are most concerned about, that is structural changes in china. i don't think you're going to see much of that. china is very concerned about his rise in pursuing 2025. it's a, 5d, it's not going to slow down just because the u.s. wants to slow it down. >> he hadn't read the agreements, essentially the president got back. >> i don't know if the president got steamrolled. i think he got about as good a deal as he could but he raised the question, what leverage do we really have on china? that's a fundamental question.
leverage is a little weak if we go along. on the other hand, if we do work with our allies, we get a lot more leverage with china. china is very good at dividing. it can divide countries. i've seen it staged. we have to work as a team. allies together, they can't get away as they have divided in the past. >> i want to ask you about last night's debate. even the so-called stage of proposed tax increases more than twice as large as hillary clinton 2016. as a representative of the traditional moderate wing of your party, do you feel like there's still room the democratic party for a moderate like yourself? >> well, when i heard those statements, i felt a little queasy.
let's remember, this is a democratic primary. not the general populace. minor i hear a lot of talk about increase in taxes, i get a little nervous about that. >> do you think democrats with their tax increases are setting themselves up for a landslide loss? >> no, i don't think so. the democratic nominee, the leader so far is the vice president. he's not that kind of guy. he's smart enough to know to pull our country together, you don't just willy-nilly talk about taxes. don't forget, he's not for medicare for all. he wants to work make obamacare better. i don't think the "issue is"
here. >> do you get a sense, and i discussed this, this notion that the democrats deny the president's reelection? when he or she sticks to a deal that they have criticized and ripped apart? >> are you talking about china? >> and the democratic president. would that person make this the deal they stick to? >> i think so. i think whoever is president wants to put more pressure on china and wants to do it in a strong way with gravitas and strength, i don't think it makes much difference if they are democrat. democrats have been concerned about jobs, that's true. this agreement, phase 1002 very much for jobs in america because
a lot of manufacturers are still going to be subject to lots of tariffs going over the china. the main. >> is, good faith, are we going to work in good faith? the jury is out. we will see. >> thank you very much. good senior. >> a little more on this, served between the president and chinese government on this deal. he joins us right now from the white house. to have you. >> very glad to be here. >> what is your sense about where we go from here, whether the chinese will honor it? >> i think the chinese will certainly honor it. the result of three years of meetings, what's fascinating is it takes a while before each country figures out what it really will do what's in it interest and how they are going
to pursue the future on that deal. i think the chinese think this through. there are countries complex. they have their hardliners, they come together. from talking to the people who have a response ability for incrementing this deal, they are all over it. i'm a much more positive and optimistic than you might think if you want dealing with the people who actually have a responsibility. >> you get a sense, we've been mentioning the markets, normally we sell on the fact that buying off on ahead of that, so that's not happening today. i'm curious what you make of where "wall street" goes, concern not only on the trade thing. you think that is a worry? >> the worry about escalation in
the trade area is really behind us. the question is how productive can we make this going forward? phase one agreement has a lot in it. more than people thought. when there was discussion previously. i think that will set a new baseline. the chinese are quite enthusiastic about pursuing phase two agreement, addressing other issues and of course, they'll be hard to roll back tariffs when that happens. >> how do you think the markets go when you have the president discussing impeachment in the house and sending articles to the senate at the same moment the president is signing off on this trade deal and the markets are racing?
how do you digest that? >> i think the impeachment going on in the midst of this is somewhat surreal and puts the impeachment in away into perspective. i think the markets have looked at that as partisan type of situation and expect since there's no precedent in u.s. history has ever been convicted and only to have had trial that in a way, it's taking a lot of time diverting attention but will not end up interfering with the future and make clear the way for more things to happen. >> this president said tariffs were being used as a leverage and can extract the kind of unexpected benefits that many on
"wall street", got in today. i wonder if we were to use it and negotiate coming up with the europeans, what you think of that? >> i think the negotiations with the europeans are somewhat different. they have been all kinds of things mentioned already, as you know, on tariffs and steel tariffs and so forth. i think what the objective is of the president is to have a level playing field and what u.s. companies try and sell the products, do their best. if we don't succeed, then it will affect our part but his job is to level the playing field. i think europe will be one area where there will be issues, as you know but those issues are important and are not nearly up
to scale of china. nor is the market opening issue as profound. >> it's interesting, even after this deal, as you know, we are still looking at roughly two thirds of everything we get from china in some ways. that's apart from where we were before when all of this started when it was in the single digits. >> that's got to be dealt with in phase two. that's not helpful for america but on the other hand, it's not helpful going the other way. both countries are sensitive about that. both countries are also sensitive about the impact on the rest of the world through the use of tariffs and the impact of them. so i think there's a lot of incentive to move on to a second phase.
i think that will occur, but i just left a conversation where they are already starting to talk about some of those issues. >> i know you don't like to wait too much but the markets are behaving, this president will get reelected. do you agree? >> that's a tough one. to basically handicap, there are so many issues that happen. i think the markets fundamentally left regulation in our pro-business and up positive and overall feeling toward the business community and commerce. i think that certainly is part of the current administration.
i think in that sense, the markets would like to see more of that. >> thank you very much. at the white house, ceo. thank you again. there well enter record territory. it's now under 29000. >> i was just watching the market action, the markets start to flinch every time we are talking about there's an impasse over the last two years. an indication that they turn hawkish. i think the markets feel poppy right now. in terms of the backdrops and why the market is doing a run up. the points are well made about
enforcement, trying to step up. >> we've been talking about whether trump can hold the chinese to the premises. i'm wondering if maybe people like him will also be helpful to take to the chinese, i don't want to invest there if you are going to be fighting with trump again in six months because you didn't do what you said you were going to do. i think there is an incentive, not that we want to be blind to the history of the communist government but there is a big incentive here for china to speak to its promises on this and allow the investment of the growth that i assume a lot of them are. >> i think there really a sensitive about -- china is about saving face and honor. it did not want to be painted as manipulating. and stealing, like stealing -- >> currency manipulator here.
he's got ethanol so you can't complain. [laughter] johnny would call me along with chuck grassley caused a tandem. all they want to know about is ethanol. but we got it done. >> all right, she's relentless. that was the message from the president. the iowa senator joining us right now. thank you for joining us. >> thank you for having me. >> where do we go from here? prior promises we got like me and my diet resolution, they
don't stick to them. [laughter] >> i do think that is part of the agreement and it something we will have to build on as we move into phase two. right now, i know i winds are very happy with phase one and the inclusion of all that is agriculture. it's such a boom for manufacturers in iowa, they are pleased with the progress we've been able to make. >> might break away from you briefly, the president is having lunch right now but do you think in iowa, they are as optimistic as you are? >> they have taken it on but as i was just explaining to someone else, the farmers, they question why we didn't have a president i would stand up for them before this. so they have taken on that they know for generations to come, this is the right move to make. >> i don't know if you will be able to hear this, this is going
on right now. let's jump in. >> speaking in native language. >> this is a great thing for china and the united states. this is an agreement that people have been talking about for 40 years and never were able to get the paper signed. we never had an agreement. this is going to be a great agreement for both countries. it's far greater than $200 billion and it will grow every year. it also unifies the countries and president xi has been nice to talk about other things and going outside of the agreement such as functional, we are working about. we are going to work closely together on north korea and its leica world-class chest or poker match. we are going to work together for the better of our country.
[speaking in native language] [speaking in native language] speaking in native-language. >> i do not know mandarin but we are monitoring back. the president is doing pretty good as well as the chinese counterparts. that was something you touched on. this idea of building from here. it's interesting for your
farmers and state in particular, it's about getting back to the levels they were at before all of this started a couple of years ago. even with that, it worries you? >> it does not worry me because this is a starting. i'm glad we were able to come to terms on what we did. so they understand our position, we better understand where the chinese are and we will continue really build and improve upon the phase one agreement. next is based two. it will get a little tougher from here. the fact we can have an agreement that is enforceable is very important to iowa farmers because for so long, the chinese have really messed around with the iowa economy by rejecting contracts and wreak negotiating lower prices of our commodities. it's time to step out straight from the chinese understand we mean business and i look forward to moving on to phase two.
>> the impeachment saga has now moved to the u.s. senate. i'm wondering the position i've been discussing with my guests over the last couple of hours that you have a president who's facing impeachment with an economy, trade deals like this. someone said he could drag on for a while so your colleagues are open to witnesses where it could potentially drag on. how do you feel about that? >> i think we need to move quickly through this. we have two articles of impeachment that we will be hearing about, i believe they read tomorrow and will be sworn in june. the trial will start but we have these two articles of impeachment and see if there are material witnesses that are relevant to this discussion. i don't know that at this time. that's why we agreed to move through phase one of the trial
and determine our witness is necessary? if they are not, let's get this political exercise over with. people back home want to know about this china deal. they want to know about u.s. mca. they are not asking me about impeachment. >> thank you, i apologize with that interruption. the beautiful state of iowa, charlie, what you think of all of this back and forth? >> interesting, i thought china was in force, it will be interesting fact checking everything he said. i would like to see the monday morning quarterback on that. the market they did not move on this. the market moved early today on the company that the white house mowing some sort of fiscal stimulus.
the white house is not commenting on that. this is clearly being floated to congress that they may put that in the budget. that did move the market. >> i want to point out, we don't know what they are ultimately going to propose. we don't know if this is is a trial but the things we are hearing from a possible payroll tax cut, something with the earned income tax credit. this is being floated, we markets look beyond this trade deal. while, listen, here is the thing. good we're not at a trade war with china. that is very good thing t takes heat off the markets. if you look what agreed to on phase one, really not that much different than in the past, other than cessation of the war, right? we can move on to maybe the next step. but again, markets are looking
beyond this. they really want to see meat on the bones. anything that stops tariffs, more tariffs thrown out there, is obviously good for markets. if trump administration goes through with fiscal stimulus, they do a payroll tax cut, that will fly in the face of every democratic candidate who is calling for tax increases. joe biden, the alleged moderate in this race on democratic side wants to raise payroll taxes. payroll taxes is one of the most regressive taxes out there. it hits middle class people extremely hard. think about that. so the trump administration is clearly floating ideas to counter that in an election year. if they get trade out of the way, cessation of war, and maybe a decent deal on phase two, we have to see, if they do some sort of a stimulus, propose stimulus that is not a bad platform to run on in 2020.
neil: thank you, charlie gasparino. lizzie, what do you think? >> that is an important point, if you go into impeach the president the 2020 democratic candidates damn well need solid policies to run on. not to game say for what max baucus is saying, for joe to campaign on tax hikes, we haven't seen any candidate pull that off to win the white house. that is all they got, really, at that, hikes? their spending ideas, almost like what obama proposed. that was spare change in the cushions what they're talking about now in terms of blowing out the debt. >> white house is talking about tax cut 2.0 for a while. i think resolution of trade fights, stimulus we've been looking for, sometimes the white house down appreciate the power of that 2017 tax cut the president enacted. we saw this week, encana, big canadian energy firm,
shareholders moving from calgary to denver. you remember the obama years when the treasurys were trying to ways to lock u.s. companies not to flee in other jurisdictions? now people want to flee to the u.s. resolution of trade fights encourage that. neil: a lot depends if we don't ante up with the europeans. we had great success with chinese. that is our cudgel. >> the other story headline came out, van jones of cnn getting hammered on social media for dropping a truth bomb. neil: none of these guys can beat trump. >> none of these nice can beat trump. that is realty check bounced in d.c. echo house chamber. neil: reality, i like that. i see what you did. >> i don't know what i said. you will fix me. see what i mean? why is he getting criticized for saying the obvious? neil: things could change. we have a long way to go. the wind is certainly at the president's back with all this
stuff. i can't imagine chinese will do anything to risk derailing this for the time-being, right? >> i think they have a very strong incentive. we saw the pain in their economy that resulted just as we saw pain in our economy. largely -- neil: they saw a lot more. they saw a lot more. >> yeah they did. >> they have every reason to want to get along. to the ambassador's point about their thoughts on our intentions. i think this day suggests we want to prosper together, encourage them to keep performing. neil: thank you very much. for your patience. you have a busy show young lady. >> "the evening edit." neil: we want to let you know. markets are holding 29,000 as lizzie said we would. i'm holding lizzie accountable we would close over there. we seemed to telegraph that. a lot more detail after the markets close on "your world." rick scott, host of others weighing in on the significance of this day. i guess the freakishness of this day. we're seeing extraordinary trade
agreement signed between the two biggest economic powers on the planet and a move to impeach the president of the united states in the middle of that no matter what you think politically, it is just crazy. to charles payne, speaking of, charles. charles: bizarre world continues. neil: you got it. charles: thanks, neil. good afternoon, everyone, i'm charles payne this is "making money." big day as kneel mentioned. phase one, president trump signing trade deal with china just a short time ago, sending markets to all-time highs. we're getting help too. amazing corporate and economic data. now that the deal is done, what is next for these markets? is it time to paws? will there be a new catalyst to keep the rally going? >> the only people on this stage who have won every single election they have been in are the women. charles: elizabeth warren having a mic drop moment but it was lone bright spot in otherwise very dull debate. th